Rolling your own

PORTSMOUTH — Rolling your own cigarettes is a price-saving alternative to buying a pack, especially after Wednesday when the package price increases by 45 cents.

Susan Morse

PORTSMOUTH — Rolling your own cigarettes is a price-saving alternative to buying a pack, especially after Wednesday when the package price increases by 45 cents.

A federal tax on all tobacco in April put a crimp in the roll your own style, said tobacconists interviewed, but a slated July 1 state tax increase on packs could get the trend rolling again.

On Wednesday, June 24, New Hampshire legislators said they closed a $650 million revenue gap by passing an $11.5 billion budget that includes raising the cigarette tax by 45 cents, to a total of $1.78 per pack.

Even with the hike, New Hampshire has the lowest cigarette tax in the region, according to Michael Dumond, bureau chief of Bureau of Prevention Services, state Division of Public Health Services.

Maine's tax is $2 per pack; Vermont's $1.99; Rhode Island's tax is $2.46; and Massachusetts has a $2.51 tax per pack, Dumond said.

Smoke shops in Seabrook at the Massachusetts border particularly benefit from smokers traveling into the state to buy cigarettes at cheaper prices.

Roll your own machines come in small portable sizes to the bigger electric models that sell for about $100. Then there's the cost of loose tobacco, rolling papers, filters and tubes.

In buying loose tobacco, smokers spend about half of what they would for the packaged product, said those interviewed, even after a hefty federal tax increase went into effect in April.

The federal State Children's Health Insurance Program tax, to cover more uninsured children, created a 2,000 percent mark-up on loose tobacco, said shop owners.

It also raised federal cigarette taxes from 39 cents to $1 per pack and increased levies on cigars, rolling papers and other tobacco-related products.

Tobacco Depot opened on Route 1 in Seabrook about a year ago.

Loose tobacco represents about 25 percent of his smoke business, said Manager Dan Sullivan. Sales of loose tobacco are increasing, he said, though they slowed after the SCHIP tax in April.

"There used to be a big gap between the two," Sullivan said, comparing loose tobacco to cigarette packs.

The cheapest cigarette cartons in his store sell for about $35, Sullivan said. A one pound bag of loose tobacco, which is equivalent to more than two cartons, costs $40 to $50.

At Tobacco Depot, a carton of Marlboro's sell for $49. In Massachusetts, the same carton would cost about $80, said Sullivan.

Even with the new July 1 tax, smokes, "will still be cheaper than Massachusetts, so (customers) will be coming over buying them."

Tobacco Depot employee Vickie Ratigan smokes Winston Lights, and buys the smaller bags of loose tobacco for times when she runs out.

She's not a big smoker, she said, going through a pack every three days. State statistics show 82 percent of smokers smoke a pack a day.

"By rolling your own, you can get so many more cartons than a bag," Ratigan said. "For me, I have it for when I run out of a pack of cigarettes. I roll five, it takes five minutes. Yes, customers are asking about it. It's become more common. I've been doing this about 13 years. Lately in the past six or seven years, it's become more common."

"Even since the SCHIP tax, we're still maintaining a good customer base out of Massachusetts," said Noradki. "(Roll your own) seems to be growing. I might have lost some of the New Hampshire roll your own with the SCHIP. It brings the price in with the price of a carton up here. In Massachusetts, they're still saving significantly."

Since SCHIP, a can of loose tobacco that used to retail for $18 now sells for $42, he said. The price per pound increased from $1.09 to $24.78.

Susan Hargrove of Smoke Signals in Dover says she sells about 10 roll your own machines a day, compared to two or three a day a few years ago.

"Even after April 1, people are switching, it's over half the price," she said.

Chad Ouellette owns the News Shop of Portsmouth at the Fox Run Mall.

"I sell the equipment and the tobacco," he said. "For us, (roll your own) is not too big. I'd say not 2 percent of what we sell."

He sells a pack of cigarettes for about $6. After start-up costs, the equivalent of a pack, 20 cigarettes, costs $2 to $4 for roll your own, he estimates.

Ouellette also said after SCHIP, cans of loose tobacco doubled in price.

"The big thing now, is another New Hampshire tax going in," said Ouellette. "It's about the fifth tax in four years. A lot of people say, roll your own, then the price went up to meet or exceed the regular tax (on packs)."

Taxes overall, said Ouellette, "make it pretty rough. It costs so much more to bring product in. People are buying less."

People will still smoke, said those interviewed.

"I think people are going to buy cigarette regardless of what it costs," said Ratigan.

Dumond said smoking rates in the state have declined over the past seven years.

"There's been several increases in cigarette taxes over the last 10 years that somewhat coincide with rates going down," said Dumond. "The amount of increase has to be substantial enough to change behavior. Ideally, (that would be) 50 cents. It would be in the range, (for people to say), now's the time to quit."

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